DHL Enhances LCL Connectivity between Hong Kong and Manaus, Brazil

Weekly service expected to significantly bolster trade volumes between both cities

Hong Kong, 21 September 2010: DHL, the world’s leading logistics company, has enhanced its connectivity between Hong Kong and Brazil by upgrading its existing Hong Kong – Manaus LCL[1] (Less than Container Load) service schedule from a bi-weekly to a weekly service. A result of the significant increase in two-way trade between both countries in the last year, the upgrade will improve DHL’s service to customers.

Today, DHL operates 20 direct LCL services between Asia Pacific and South America, including three direct LCL services from Hong Kong to Brazil’s Paranagua, Santos and Manaus ports. According to the Hong Kong Trade Development Council, Brazil is Hong Kong’s second largest export market in Latin America, only after Mexico. Hong Kong’s total export volume to Brazil soared 63% in the first 2 months of 2010[2]. Brazil has recorded strong GDP growth, with 9% year-on-year growth in the first quarter of 2010[3]. The Brazilian economy is also expected to grow by 6.99% in 2010 overall[4], a pace much faster than its Latin American neighbors.

“Although we are seeing signs of economic recovery, customers are still looking for quality and valued logistics solutions,” said Mr. Kelvin Leung, Chief Executive Officer, DHL Global Forwarding, North Asia Pacific. “The enhanced LCL services have strengthened our unrivalled coverage with more than 2,300 weekly point pairs from 24 North Asia Pacific Terminals sailing to 98 destinations in South America. As a member of the BRIC countries, Brazil is growing in economic importance and our services will facilitate business and trade flow between both regions for our customers.”

Mr. Edward Hui, Managing Director, DHL Global Forwarding, Hong Kong, Macau and South China, said, “The shortened transit time to Manaus, not only offers higher efficiency from a business perspective, but also reduces carbon emissions, contributing to a greener environment together with our valued customers.”

Clas Thorell, Head of LCL Management Asia Pacific, DHL Global Forwarding, said, “By building a stronger logistics network between South America and Asia Pacific, customers are definitely better placed to capitalize on the vast business opportunities in the emerging South American market. Our enhanced LCL services into Brazil will provide customers with more flexibility on transportation time to meet their fast changing business needs.”

DHL currently operates the world’s largest LCL network with close to 2,000,000 cubic meters of LCL freight handled annually.